Part 23Company distributions

Chapter 3Matters which are not distributions

Purchase of own shares: supplementary

1048Sections 1033 to 1047: other interpretation

(1)

In sections 1033 to 1047—

“holding company” means a company whose business (ignoring any trade carried on by it) consists wholly or mainly of holding shares or securities of one or more companies which are its 75% subsidiaries,

“quoted company” means a company whose shares (or any class of whose shares) are listed in the official list of a stock exchange,

“shares” includes stock,

“trade” does not include dealing in shares, securities, land or futures,

“trading company” means a company whose business consists wholly or mainly of carrying on a trade or trades,

“trading group” means a group the business of whose members (taken together) consists wholly or mainly of carrying on a trade or trades, and

“unquoted company” means a company which is neither a quoted company nor a 51% subsidiary of a quoted company.

(2)

In the definition of “trading group” in subsection (1) “group” means a company which has one or more 75% subsidiaries, together with those subsidiaries.

(3)

References in sections 1033 to 1047 to the owner of shares are to the beneficial owner except where the shares—

(a)

are settled property, or

(b)

are comprised in the estate of a person who has died.

In such cases the references are to the trustees of the settlement or, as the case may be, the deceased's personal representatives.

(4)

References in sections 1033 to 1047 to a payment made by a company are to be read in accordance with section 1033(6).